The WTA Tour has signed the largest sponsorship deal in the organization’s history, as the commercial arms of women’s and men’s tennis move closer to a long-mooted merger.

Mercedes-Benz will become the WTA’s premier partner from January 1 2026. Two sources briefed on the deal — who spoke on the condition of anonymity because they were not authorized to speak publicly — said it will far exceed the previous one with medical company Hologic.

The deal was agreed through WTA Ventures, which is the organization that would join commercially with the ATP Tour in any merger. Last month, the ATP Board and ATP Media shareholders voted in favor of a short-form, non-binding agreement for that merger, and a separate source briefed on those discussions said that an equivalent WTA vote is expected to take place before the end of 2025.

If the women’s tour also votes in favor, discussions will progress toward a long-form agreement, including details of revenue splits, the composition of the board and its chief executive. The proposed merger would not come with a 50-50 revenue split between the two tours at present.

The WTA declined to comment on the discussions.

The Mercedes-Benz agreement, which was first reported by Hard Court, will also lead to deals between the car manufacturer and individual players. World No. 3 Coco Gauff announced a partnership with it Monday, and the agreement is set to bolster the women’s tour’s commercial power and ability to sign further partnerships with other brands.

Mercedes-Benz, which sponsored the ATP Tour for just over a decade in the 1990s and early 2000s, will be present at 250, 500 and 1,000-level WTA tournaments and its logo will first be seen on the net at the Abu Dhabi Open in the United Arab Emirates, from Jan. 31 to Feb. 7. Tournaments with existing deals with other car brands, the Stuttgart Tennis Grand Prix, which is sponsored by Porsche, will continue with their current partnerships, and at those tournaments the net post sign will have a WTA logo.

The deal comes at the end of a year in which the WTA launched a new brand identity and awarded the biggest prize money payout in the history of both professional tennis and women’s sport, through the $ 5.24 million awarded to Elena Rybakina at the WTA Tour Finals in Riyadh, Saudi Arabia last month.

Billie Jean King, a founder of the tour, said in a statement sent to The Athletic: “This is a very significant partnership for the WTA. I am proud of how far the WTA has come since we started it in 1973. Mercedes-Benz’s long-term commitment and belief will ensure a bright future for the WTA as it continues to be the global leader in women’s sports.

King continued: “The investment by Mercedes-Benz will provide significant support across the WTA, from player prize money, to tournament sponsorship and transportation, and tour operations. In addition, aligning with such an iconic global brand offers valuable promotional visibility and storytelling for the WTA.”

This article originally appeared in The Athletic.

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